12 Best Healthcare Stocks to Buy According to Analysts

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1) Legend Biotech Corporation (NASDAQ:LEGN)

Number of Hedge Fund Holders: 31

Average Upside Potential: 114.3%

Legend Biotech Corporation (NASDAQ:LEGN) is a clinical-stage biopharmaceutical company, that is engaged in the discovery, development, manufacturing, and commercialization of novel cell therapies for oncology and other indications. On January 23, BTIG analyst Justin Zelin maintained a “Buy” rating on the company’s stock, maintaining a price target of $91. The rating is backed by the company’s strong sales performance and strategic capacity expansions. In Q4 2024 and FY 2024, Legend Biotech Corporation (NASDAQ:LEGN), in partnership with JNJ, posted CARVYKTI® sales that marginally exceeded anticipations. Notably, the company announced that CARVYKTI® generated ~$334 million in net trade sales during the quarter ended December 31, 2024.

The performance was mainly aided by strong demand in the relapsed/refractory multiple myeloma setting and successful capacity expansions both in the US and internationally. Additionally, Legend Biotech Corporation (NASDAQ:LEGN)’s management articulated plans for additional manufacturing expansions to cater to future demand, strengthening the confidence in reaching production goals by 2025. Notably, CARVYKTI® remains a best-in-class therapy for multiple myeloma, showcasing strong efficacy and an improving safety profile.

Notably, the positive data from Legend Biotech Corporation (NASDAQ:LEGN)’s CARTITUDE-4 study further cemented its competitive position as CARVYKTI is the first and only cell therapy shown to significantly extend overall survival in comparison to standard therapies for multiple myeloma patients as early as second line.

While we acknowledge the potential of LEGN as an investment, our conviction lies in the belief that some deeply undervalued AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for a deeply undervalued AI stock that is more promising than LEGN but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and Complete List of 59 AI Companies Under $2 Billion in Market Cap.

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